Question

Select the most appropriate answers from the alternatives given below and rewrite the sentence.

In Straight Line Method of depreciation the amount of depreciation remain ________ every year.
a) constant
b) increased
c) fluctuating
d) decreased

Answer 1

In the Straight Line Method of depreciation the amount of depreciation remain constant every year.

Explanation:
In the straight line method, depreciation is charged on the original cost of an asset. It is calculated as the cost of the asset less scrap value divided by the useful life of the asset. Hence, the depreciation charged for the first year remains constant every year.